Bahrain Home Improvement Market Report Size Share Growth Drivers Trends Opportunities & Forecast 2025–2030

The Bahrain home improvement market, valued at USD 1.0 billion, is growing due to increasing disposable incomes, urbanization, and government initiatives for energy-efficient renovations.

Region:Middle East

Author(s):Shubham

Product Code:KRAD2622

Pages:90

Published On:January 2026

About the Report

Base Year 2025

Bahrain Home Improvement Market Overview

  • The Bahrain Home Improvement Market is valued at USD 1.0 billion, based on a five-year historical analysis of DIY, hardware, and building materials retail revenues in the country. This growth is primarily driven by increasing disposable incomes, a growing population supported by sustained residential construction activity, and a rising trend in home renovations and improvements as households upgrade existing housing stock. The market has seen a surge in demand for various home improvement products and services, reflecting changing consumer preferences towards enhancing living spaces, with particular emphasis on aesthetics, functionality, and energy efficiency.
  • Key players in this market include Manazel Bahrain, IKEA Bahrain, and Home Centre Bahrain, alongside other regional hardware and home improvement retailers. These companies have a strong presence due to their extensive product offerings, strong brand recognition, and strategic locations in urban centers such as Manama. Their ability to adapt to consumer trends, offer integrated home solutions, and leverage omnichannel retail (in-store and online) has strengthened their competitive positions.
  • In 2023, the Bahraini government strengthened the policy framework for promoting energy-efficient home improvements through instruments such as the Bahrain Energy Efficiency Action Plan (BEEP) and the Minimum Energy Performance Standards and Labelling regulations issued by the Ministry of Electricity and Water Affairs and the Electricity and Water Authority. These measures encourage homeowners to adopt sustainable practices by supporting energy-efficient air-conditioning, lighting, and building envelope upgrades that comply with specified performance standards, thereby fostering a more environmentally friendly home improvement market through lower energy consumption and improved building performance.
Bahrain Home Improvement Market Size

Bahrain Home Improvement Market Segmentation

By Product Category:The product category segmentation includes various subsegments such as Kitchen and Bathroom Improvements, Flooring and Wall Coverings, Paints, Coatings, and Surface Treatments, Tools, Hardware, and Building Materials, Lighting and Electrical Fixtures, Outdoor, Landscaping, and Garden Products, Storage, Furniture, and Home Organization, Home Security and Smart Home Solutions, and Others. Among these, Kitchen and Bathroom Improvements are leading the market due to the increasing focus on modernizing these essential spaces in homes through premium fittings, water-efficient fixtures, and contemporary designs. Consumers are investing in high-quality fixtures, integrated storage, and innovative designs, driving significant growth in this subsegment and aligning with global trends where kitchen and bathroom upgrades account for a substantial share of home improvement spending.

Bahrain Home Improvement Market segmentation by Product Category.

By Project Type:The project type segmentation includes DIY (Do-It-Yourself) and DIFM (Do-It-for-Me) / Contractor-Led. The DIY segment is gaining traction as more consumers are inclined to undertake home improvement projects themselves, supported by the availability of online tutorials, e-commerce platforms, and user-friendly products that mirror global DIY trends in home improvement. However, the DIFM segment remains significant as many homeowners prefer to hire professionals for complex renovations, electrical and plumbing works, and structural changes, ensuring quality, regulatory compliance, and efficiency in their projects.

Bahrain Home Improvement Market segmentation by Project Type.

Bahrain Home Improvement Market Competitive Landscape

The Bahrain Home Improvement Market is characterized by a dynamic mix of regional and international players. Leading participants such as IKEA Bahrain, Home Centre Bahrain, Ace Hardware (Al-Futtaim ACE), Manazel Bahrain, Haji Hassan Group, Khamis Al Ansari Trading Co., Bahrain Hardware Company, Mohammed Fakhroo & Bros., Bahrain Building Materials Company, Al Zayani Investments (Home & Building Materials), RG Architects & Interiors, Mohammed Jalal & Sons, Awal Building Materials, AlMuftah Home & Garden, Other Notable Local Retailers and Contractors contribute to innovation, geographic expansion, and service delivery in this space, with offerings spanning furniture, décor, hardware, building materials, and turnkey renovation services.

IKEA Bahrain

2018

Manama, Bahrain

Home Centre Bahrain

1995

Manama, Bahrain

Ace Hardware (Al-Futtaim ACE)

2012

Manama, Bahrain

Manazel Bahrain

2007

Manama, Bahrain

Haji Hassan Group

1952

Manama, Bahrain

Company

Establishment Year

Headquarters

Group Size (Large, Medium, or Small as per industry convention)

Bahrain Home Improvement Revenue (USD Million)

3-Year Revenue CAGR in Bahrain (%)

EBITDA Margin (%)

Return on Invested Capital (ROIC, %)

Market Share in Bahrain Home Improvement (%)

Bahrain Home Improvement Market Industry Analysis

Growth Drivers

  • Increasing Disposable Income:The average disposable income in Bahrain is projected to reach approximately BHD 1,300 per month in future, reflecting a 6% increase from the previous year. This rise in income allows consumers to allocate more funds towards home improvement projects. As families invest in enhancing their living spaces, the demand for home improvement products and services is expected to grow significantly, driving market expansion and innovation in the sector.
  • Urbanization and Housing Demand:Bahrain's urban population is anticipated to increase to 1.6 million in future, representing a 4% annual growth rate. This urbanization trend fuels the demand for housing and subsequently for home improvement services. As new residential developments emerge, homeowners are increasingly seeking renovations and upgrades to meet modern living standards, thereby propelling the home improvement market forward.
  • Government Initiatives for Home Improvement:The Bahraini government has allocated BHD 250 million for housing projects in future, aimed at improving infrastructure and residential facilities. These initiatives include grants and subsidies for home renovations, which encourage homeowners to invest in upgrades. Such government support not only stimulates the market but also enhances the overall quality of housing in the region, fostering a conducive environment for home improvement activities.

Market Challenges

  • High Import Costs of Materials:The import costs for construction materials in Bahrain have surged by 12% in future due to global supply chain disruptions and increased shipping fees. This rise in costs poses a significant challenge for local home improvement businesses, as they struggle to maintain competitive pricing while ensuring quality. Consequently, this may lead to reduced profit margins and hinder market growth.
  • Limited Local Manufacturing:Bahrain's local manufacturing capacity for home improvement products is currently limited, with only 35% of materials sourced domestically. This reliance on imports not only increases costs but also affects the availability of products in the market. As a result, businesses face challenges in meeting consumer demand promptly, which can lead to lost sales opportunities and customer dissatisfaction.

Bahrain Home Improvement Market Future Outlook

The Bahrain home improvement market is poised for significant transformation in the coming years, driven by technological advancements and changing consumer preferences. The integration of smart home technologies is expected to reshape product offerings, while a growing emphasis on sustainability will influence purchasing decisions. Additionally, the rise of e-commerce platforms will facilitate easier access to home improvement products, enhancing market reach and consumer engagement. Overall, these trends indicate a dynamic and evolving market landscape.

Market Opportunities

  • Growth in E-commerce for Home Improvement:The e-commerce sector in Bahrain is projected to grow by 18% in future, providing a significant opportunity for home improvement retailers. Online platforms enable businesses to reach a broader audience, streamline operations, and offer a diverse range of products. This shift towards digital sales channels can enhance customer convenience and drive sales growth in the home improvement market.
  • Sustainable and Eco-friendly Products:The demand for sustainable home improvement products is on the rise, with a projected market value of BHD 60 million in future. Consumers are increasingly prioritizing eco-friendly options, creating opportunities for businesses to innovate and differentiate their offerings. By focusing on sustainability, companies can attract environmentally conscious consumers and enhance their market position.

Scope of the Report

SegmentSub-Segments
By Product Category

Kitchen and Bathroom Improvements

Flooring and Wall Coverings

Paints, Coatings, and Surface Treatments

Tools, Hardware, and Building Materials

Lighting and Electrical Fixtures

Outdoor, Landscaping, and Garden Products

Storage, Furniture, and Home Organization

Home Security and Smart Home Solutions

Others

By Project Type

DIY (Do-It-Yourself)

DIFM (Do-It-for-Me) / Contractor-Led

By End-User

Residential – Apartments/Flats

Residential – Villas/Townhouses

Commercial (Retail, Offices, Hospitality)

Public and Institutional Buildings

Others

By Application

Renovation and Remodeling

New Home Fit-Out and Interior Completion

Repair and Maintenance

Energy-Efficiency and Sustainability Upgrades

Others

By Distribution Channel

Home Improvement and Hardware Retailers

Furniture and Home Décor Stores

Building Material Suppliers and Trade Counters

E-commerce and Online Marketplaces

Others

By Technology Adoption

Smart Home and Automation Systems

Energy-Efficient and Green Building Solutions

Modular and Prefabricated Improvement Solutions

AR/VR and Digital Design Tools

Others

By Region

Capital Governorate

Muharraq Governorate

Northern Governorate

Southern Governorate

Others

Key Target Audience

Investors and Venture Capitalist Firms

Government and Regulatory Bodies (e.g., Ministry of Housing, Ministry of Works)

Manufacturers and Producers

Distributors and Retailers

Construction and Contracting Companies

Real Estate Developers

Home Improvement Service Providers

Financial Institutions

Players Mentioned in the Report:

IKEA Bahrain

Home Centre Bahrain

Ace Hardware (Al-Futtaim ACE)

Manazel Bahrain

Haji Hassan Group

Khamis Al Ansari Trading Co.

Bahrain Hardware Company

Mohammed Fakhroo & Bros.

Bahrain Building Materials Company

Al Zayani Investments (Home & Building Materials)

RG Architects & Interiors

Mohammed Jalal & Sons

Awal Building Materials

AlMuftah Home & Garden

Other Notable Local Retailers and Contractors

Table of Contents

Market Assessment Phase

1. Executive Summary and Approach


2. Bahrain Home Improvement Market Overview

2.1 Key Insights and Strategic Recommendations

2.2 Bahrain Home Improvement Market Overview

2.3 Definition and Scope

2.4 Evolution of Market Ecosystem

2.5 Timeline of Key Regulatory Milestones

2.6 Value Chain & Stakeholder Mapping

2.7 Business Cycle Analysis

2.8 Policy & Incentive Landscape


3. Bahrain Home Improvement Market Analysis

3.1 Growth Drivers

3.1.1 Increasing disposable income
3.1.2 Urbanization and housing demand
3.1.3 Government initiatives for home improvement
3.1.4 Rise in DIY culture

3.2 Market Challenges

3.2.1 High import costs of materials
3.2.2 Limited local manufacturing
3.2.3 Regulatory hurdles
3.2.4 Competition from international brands

3.3 Market Opportunities

3.3.1 Growth in e-commerce for home improvement
3.3.2 Sustainable and eco-friendly products
3.3.3 Expansion of retail outlets
3.3.4 Partnerships with local contractors

3.4 Market Trends

3.4.1 Smart home technology integration
3.4.2 Customization and personalization of products
3.4.3 Increased focus on energy efficiency
3.4.4 Growth in online home improvement tutorials

3.5 Government Regulation

3.5.1 Building codes and safety regulations
3.5.2 Environmental regulations on materials
3.5.3 Import tariffs on construction materials
3.5.4 Incentives for energy-efficient renovations

4. SWOT Analysis


5. Stakeholder Analysis


6. Porter's Five Forces Analysis


7. Bahrain Home Improvement Market Market Size, 2019-2024

7.1 By Value

7.2 By Volume

7.3 By Average Selling Price


8. Bahrain Home Improvement Market Segmentation

8.1 By Product Category

8.1.1 Kitchen and Bathroom Improvements
8.1.2 Flooring and Wall Coverings
8.1.3 Paints, Coatings, and Surface Treatments
8.1.4 Tools, Hardware, and Building Materials
8.1.5 Lighting and Electrical Fixtures
8.1.6 Outdoor, Landscaping, and Garden Products
8.1.7 Storage, Furniture, and Home Organization
8.1.8 Home Security and Smart Home Solutions
8.1.9 Others

8.2 By Project Type

8.2.1 DIY (Do-It-Yourself)
8.2.2 DIFM (Do-It-for-Me) / Contractor-Led

8.3 By End-User

8.3.1 Residential – Apartments/Flats
8.3.2 Residential – Villas/Townhouses
8.3.3 Commercial (Retail, Offices, Hospitality)
8.3.4 Public and Institutional Buildings
8.3.5 Others

8.4 By Application

8.4.1 Renovation and Remodeling
8.4.2 New Home Fit-Out and Interior Completion
8.4.3 Repair and Maintenance
8.4.4 Energy-Efficiency and Sustainability Upgrades
8.4.5 Others

8.5 By Distribution Channel

8.5.1 Home Improvement and Hardware Retailers
8.5.2 Furniture and Home Décor Stores
8.5.3 Building Material Suppliers and Trade Counters
8.5.4 E-commerce and Online Marketplaces
8.5.5 Others

8.6 By Technology Adoption

8.6.1 Smart Home and Automation Systems
8.6.2 Energy-Efficient and Green Building Solutions
8.6.3 Modular and Prefabricated Improvement Solutions
8.6.4 AR/VR and Digital Design Tools
8.6.5 Others

8.7 By Region

8.7.1 Capital Governorate
8.7.2 Muharraq Governorate
8.7.3 Northern Governorate
8.7.4 Southern Governorate
8.7.5 Others

9. Bahrain Home Improvement Market Competitive Analysis

9.1 Market Share of Key Players

9.2 Cross Comparison of Key Players

9.2.1 Company Name
9.2.2 Group Size (Large, Medium, or Small as per industry convention)
9.2.3 Bahrain Home Improvement Revenue (USD Million)
9.2.4 3-Year Revenue CAGR in Bahrain (%)
9.2.5 EBITDA Margin (%)
9.2.6 Return on Invested Capital (ROIC, %)
9.2.7 Market Share in Bahrain Home Improvement (%)
9.2.8 Store Count / Points of Sale in Bahrain
9.2.9 Online Sales Share of Total Revenue (%)
9.2.10 Average Ticket Size / Basket Value (USD)
9.2.11 Customer Acquisition Cost (CAC, USD per Customer)
9.2.12 Customer Retention Rate (%)
9.2.13 Inventory Turnover (x per Year)
9.2.14 Days of Inventory on Hand
9.2.15 Same-Store Sales Growth (%)
9.2.16 Capex Intensity (% of Revenue)

9.3 SWOT Analysis of Top Players

9.4 Pricing Analysis

9.5 Detailed Profile of Major Companies

9.5.1 IKEA Bahrain
9.5.2 Home Centre Bahrain
9.5.3 Ace Hardware (Al-Futtaim ACE)
9.5.4 Manazel Bahrain
9.5.5 Haji Hassan Group
9.5.6 Khamis Al Ansari Trading Co.
9.5.7 Bahrain Hardware Company
9.5.8 Mohammed Fakhroo & Bros.
9.5.9 Bahrain Building Materials Company
9.5.10 Al Zayani Investments (Home & Building Materials)
9.5.11 RG Architects & Interiors
9.5.12 Mohammed Jalal & Sons
9.5.13 Awal Building Materials
9.5.14 AlMuftah Home & Garden
9.5.15 Other Notable Local Retailers and Contractors

10. Bahrain Home Improvement Market End-User Analysis

10.1 Procurement Behavior of Key Ministries

10.1.1 Ministry of Housing
10.1.2 Ministry of Works
10.1.3 Ministry of Industry, Commerce and Tourism
10.1.4 Others

10.2 Corporate Spend on Infrastructure & Energy

10.2.1 Corporate Investments in Renovation
10.2.2 Spending on Energy-Efficient Solutions
10.2.3 Budget Allocations for Home Improvement
10.2.4 Others

10.3 Pain Point Analysis by End-User Category

10.3.1 Residential Users
10.3.2 Commercial Users
10.3.3 Industrial Users
10.3.4 Government Users
10.3.5 Others

10.4 User Readiness for Adoption

10.4.1 Awareness of Home Improvement Solutions
10.4.2 Willingness to Invest in Upgrades
10.4.3 Adoption of Smart Technologies
10.4.4 Others

10.5 Post-Deployment ROI and Use Case Expansion

10.5.1 Measurement of ROI in Home Improvements
10.5.2 Expansion of Use Cases in Residential Settings
10.5.3 Long-term Benefits of Upgrades
10.5.4 Others

11. Bahrain Home Improvement Market Future Size, 2025-2030

11.1 By Value

11.2 By Volume

11.3 By Average Selling Price


Go-To-Market Strategy Phase

1. Whitespace Analysis + Business Model Canvas

1.1 Market Gaps Identification

1.2 Business Model Development


2. Marketing and Positioning Recommendations

2.1 Branding Strategies

2.2 Product USPs


3. Distribution Plan

3.1 Urban Retail Strategies

3.2 Rural NGO Tie-ups


4. Channel & Pricing Gaps

4.1 Underserved Routes

4.2 Pricing Bands


5. Unmet Demand & Latent Needs

5.1 Category Gaps

5.2 Consumer Segments


6. Customer Relationship

6.1 Loyalty Programs

6.2 After-sales Service


7. Value Proposition

7.1 Sustainability Initiatives

7.2 Integrated Supply Chains


8. Key Activities

8.1 Regulatory Compliance

8.2 Branding Efforts

8.3 Distribution Setup


9. Entry Strategy Evaluation

9.1 Domestic Market Entry Strategy

9.1.1 Product Mix
9.1.2 Pricing Band
9.1.3 Packaging

9.2 Export Entry Strategy

9.2.1 Target Countries
9.2.2 Compliance Roadmap

10. Entry Mode Assessment

10.1 Joint Ventures

10.2 Greenfield Investments

10.3 Mergers & Acquisitions

10.4 Distributor Model


11. Capital and Timeline Estimation

11.1 Capital Requirements

11.2 Timelines


12. Control vs Risk Trade-Off

12.1 Ownership vs Partnerships


13. Profitability Outlook

13.1 Breakeven Analysis

13.2 Long-term Sustainability


14. Potential Partner List

14.1 Distributors

14.2 Joint Ventures

14.3 Acquisition Targets


15. Execution Roadmap

15.1 Phased Plan for Market Entry

15.1.1 Market Setup
15.1.2 Market Entry
15.1.3 Growth Acceleration
15.1.4 Scale & Stabilize

15.2 Key Activities and Milestones

15.2.1 Milestone Planning
15.2.2 Activity Tracking

Research Methodology

ApproachModellingSample

Phase 1: Approach1

Desk Research

  • Analysis of market reports from Bahrain's Ministry of Housing and Urban Planning
  • Review of industry publications and white papers on home improvement trends in the GCC region
  • Examination of demographic and economic data from the Bahrain Economic Development Board

Primary Research

  • Interviews with key stakeholders in the home improvement sector, including contractors and suppliers
  • Surveys targeting homeowners to understand preferences and spending habits
  • Focus groups with interior designers and architects to gather insights on market trends

Validation & Triangulation

  • Cross-validation of findings with data from local home improvement retailers
  • Triangulation of consumer insights with sales data from major home improvement stores
  • Sanity checks through expert panel reviews comprising industry veterans and market analysts

Phase 2: Market Size Estimation1

Top-down Assessment

  • Estimation of market size based on national housing statistics and renovation trends
  • Segmentation of the market by product categories such as flooring, fixtures, and paint
  • Incorporation of government initiatives promoting home renovations and sustainability

Bottom-up Modeling

  • Collection of sales data from leading home improvement retailers in Bahrain
  • Estimation of average spending per household on home improvement projects
  • Analysis of growth rates based on historical data and consumer spending patterns

Forecasting & Scenario Analysis

  • Multi-factor regression analysis incorporating economic indicators and housing market trends
  • Scenario modeling based on potential changes in consumer behavior and economic conditions
  • Development of baseline, optimistic, and pessimistic forecasts through 2030

Phase 3: CATI Sample Composition1

Scope Item/SegmentSample SizeTarget Respondent Profiles
Home Renovation Projects120Homeowners, Property Managers
DIY Product Purchases100DIY Enthusiasts, Retail Customers
Professional Contractor Insights80General Contractors, Subcontractors
Interior Design Trends70Interior Designers, Architects
Home Improvement Retail Experience90Store Managers, Sales Associates

Frequently Asked Questions

What is the current value of the Bahrain Home Improvement Market?

The Bahrain Home Improvement Market is valued at approximately USD 1.0 billion, driven by increasing disposable incomes, a growing population, and a rising trend in home renovations and improvements as households upgrade their living spaces.

What are the main drivers of growth in the Bahrain Home Improvement Market?

Who are the major players in the Bahrain Home Improvement Market?

What product categories dominate the Bahrain Home Improvement Market?

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